Search Results for: fracking

High Oil Prices Obfuscated Economic Folly Beneath: Venezuela Is Poster-Boy—— Probability of Default Soars to 84%

Posted on by David Stockman
A sovereign default would be messy and very unpalatable for Venezuela. Stiffed and seething bondholders – by now probably hedge funds armed with a battalion of lawyers – would move to attach Venezuela’s valuable assets overseas, such as refineries and oil shipments. It will be chaos for Venezuela. Login or Join Now To Read More

Why Oil Is Finally Declining, Which May Lead to Disaster

Posted on by Lee Adler
The price of oil has finally started to obey the law. What law is that? The Law of Supply and Demand. Thanks to the US fracking boom that has done this (see chart) to US production, the supply of oil worldwide has outstripped demand since 2012. So why haven’t prices fallen before this summer? And are falling… Login or Join Now To Read More

Swiss Franc—–We Declare Thee Garbage

Posted on by David Stockman
  CHF, We Declare Thee Garbage It is by now well known that after several weeks of intense government propaganda, the Gold Initiative in Switzerland failed rather spectacularly (78% voted against keeping the Keynesian dunderheads running the SNB in check). The propaganda machinery got into full swing a few weeks ago when the “yes” vote […] Login or Join Now To Read More

Global Cooling Alert: Crude and Credit Are Warning Again

Posted on by David Stockman
The mainstream commentary is limited by its colored view of “the recovery” and so, in terms of oil, it has to be supply. But empirical history more than suggests that demand is the primary focus of oil prices – outside of blatant “dollar” engineering.... Login or Join Now To Read More

The Purgative Of $80 Oil: Junk Bond Mullets Are Getting Fracked

Posted on by David Stockman
Samson Investment, an oil and gas explorer headquartered in Tulsa, OK, owned by private equity firm KKR, extracted $2.25 billion of new money from gullible investors in July. In early August, these junk bonds still traded at 103.5 cents on the dollar. Then reality sank in, and that formerly low-risk paper plunged to 77.5 cents on the dollar. Login or Join Now To Read More